Traders Purchase Large Volume of Krispy Kreme Call Options (NASDAQ:DNUT)

Krispy Kreme, Inc. (NASDAQ:DNUT) was the recipient of some unusual options trading on Tuesday. Stock traders acquired 5,012 call options on the stock. This is an increase of 454% compared to the average volume of 905 call options.

Krispy Kreme Stock Performance

NASDAQ:DNUT traded down $2.38 during mid-day trading on Tuesday, hitting $6.75. The company’s stock had a trading volume of 5,046,394 shares, compared to its average volume of 1,842,096. Krispy Kreme has a 1 year low of $6.35 and a 1 year high of $17.84. The stock has a market cap of $1.15 billion, a price-to-earnings ratio of 40.11, a PEG ratio of 3.24 and a beta of 1.34. The business’s fifty day moving average is $9.17 and its two-hundred day moving average is $10.43. The company has a debt-to-equity ratio of 0.67, a current ratio of 0.35 and a quick ratio of 0.28.

Krispy Kreme Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, May 7th. Investors of record on Wednesday, April 23rd will be paid a $0.035 dividend. This represents a $0.14 dividend on an annualized basis and a yield of 2.08%. The ex-dividend date of this dividend is Wednesday, April 23rd. Krispy Kreme’s dividend payout ratio is presently 82.35%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in DNUT. Point72 DIFC Ltd acquired a new position in Krispy Kreme in the third quarter valued at about $51,000. Spartan Fund Management Inc. increased its stake in Krispy Kreme by 150.0% during the 4th quarter. Spartan Fund Management Inc. now owns 5,000 shares of the company’s stock worth $50,000 after buying an additional 3,000 shares during the period. Central Pacific Bank Trust Division acquired a new position in shares of Krispy Kreme in the fourth quarter worth $71,000. Blue Trust Inc. raised its stake in shares of Krispy Kreme by 28.3% in the third quarter. Blue Trust Inc. now owns 8,064 shares of the company’s stock valued at $87,000 after acquiring an additional 1,779 shares in the last quarter. Finally, First Hawaiian Bank purchased a new stake in Krispy Kreme during the 4th quarter worth about $111,000. Hedge funds and other institutional investors own 81.72% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on DNUT. JPMorgan Chase & Co. cut their price target on Krispy Kreme from $14.00 to $13.00 and set an “overweight” rating for the company in a report on Tuesday, November 12th. Morgan Stanley dropped their price objective on shares of Krispy Kreme from $14.00 to $12.00 and set an “equal weight” rating for the company in a report on Tuesday, January 21st. Three analysts have rated the stock with a hold rating, five have given a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $15.25.

Krispy Kreme Company Profile

Krispy Kreme, Inc, together with its subsidiaries, produces doughnuts in the United States, the United Kingdom, Ireland, Australia, New Zealand, Mexico, Canada, Japan, and internationally. The company operates through three segments: U.S., International, and Market Development. The company offers doughnut experiences through hot light theater and fresh shops, delivered fresh daily branded cabinets and merchandising units within grocery and convenience stores, quick service restaurants, club memberships, drug stores, and ecommerce, as well as through its branded sweet treat line comprising Krispy Kreme branded sweet treats.